Religiosity, Temporal Orientation, and Goals in Family Business : How Religious Goals Affect Family Cohesion and Business Performance

The family business is the sort of venture in which most of the shareholders belong to one family. Moreover, decision-making power is restricted to family members. The literature explains that family cohesion, fairness, and loyalty are vital elements to achieve success in the family business. The study aims to explore how religiosity affects family business goals, we merge literature on goal setting, temporal orientation, and family business to argue that family business goals can be distinguished into short-term and long-term orientations and propose that religiosity affects both orientations, but to varying degrees. We contend that Religiosity Goal Importance and achievement affect Long and Short-Term Goal Achievement and Importance. And this will in turn affect Family Cohesion, Organizational Performance. Empirical validity was established by conducting a survey using a close-ended questionnaire. Data was collected from 278 respondents and analyzed using confirmatory factor analysis and structured equation modeling. All participants belong to the managerial post of the family business. The cities covered were Rawalpindi and Islamabad. Religiosity Goal Achievement and importance seems to have a significant and positive effect on Short Term Goal Achievement, and importance. Religiosity Goal Achievement also seems to affect Long Term Goal Achievement, and importance. Short and Long-Term Goal Achievement seems to affect organizational performance and Family Cohesion respectively. Hence Religiosity Goal Achievement positively and significantly mediates the effect of Long-Term Goal Achievement on Family Cohesion. The findings show that care and cooperative behavior is vital to achieving success in the family business. The recommendations were drawn that, family cohesion and morality is vital to develop efficient family human resource. The time and lack of access to data are major limitations of the research